This month I will be continuing with the series on barriers for new beginning farmers and ranchers. In March, we delved into the topic of labor shortages, and this month I wanted to explore a topic near and dear to us all – LAND ACCESS!
Land prices continue to climb, making it difficult for new or small-scale Farmer Veterans to acquire farmland. Many Veterans struggle to secure farm loans due to limited credit history or lack of farming experience. The Farmer Veteran Coalition also assists are Veterans with capital access which will be address in a future newsletter and acquiring farming experience through a certified training or mentorship programs.
Leasing is a viable option that many producers contemplate when they are initially starting and developing their business plans. Since this is a key decision for beginning farmers and ranchers, here are some advantages of leasing land compared to owning it.
ADVANTAGES TO LEASEING
- Lower Initial Costs: Land ownership is expensive, especially in high-demand areas. Leasing allows Veterans to start farming without the burden of a large mortgage, freeing up capital for equipment, inputs, and livestock.
- Less Financial Risk: Leasing minimizes the financial risk if the farm operation does not go as planned. It is easier to pivot or scale down if necessary.
- Flexibility to Experiment: Leasing allows beginning farmers to try out different crops, livestock, or business models without being locked into a long-term land investment. This allows Veterans new to farming to learn by doing without the pressure of land debt.
- Access to Better Land: You might be able to lease higher-quality land than you could afford to buy, giving your operation a better chance of succeeding from the start.
- Location Flexibility: Leasing makes it easier to relocate as your business evolves or if personal circumstances change. This is helpful for Veterans who may want to return to their home state or be closer to VA resources.
- Eligible for Government Support: Leases still qualify for many USDA programs, including EQIP (Environmental Quality Incentives Program) and microloans, provided you have a written lease.
REMEMBER that leases need to be well-drafted to protect your investment in improvements (e.g., fencing, irrigation), and long-term leases are usually preferable for stability and planning.
ADDITIONAL RESOURCES
Programs like the USDA’s Transition Incentives Program (TIP) support Veterans in finding leased or owned land, often with mentoring.
The Transition Incentives Program is part of the USDA’s Conservation Reserve Program (CRP). It encourages landowners to transition their CRP land to beginning farmers and ranchers when their CRP contracts expire. Landowners with expiring CRP contracts can receive up to two additional years of CRP rental payments if they sell or lease the land to a qualified Veteran or beginning farmer. The new farmer must return the land to sustainable production using conservation-minded practices. Leases must be long-term (at least 5 years) or the land can be sold to the transitioning farmer. Landowners must have CRP contracts expiring. Beginning Farmers/Ranchers are defined as having 10 years or less of experience. Veteran Farmers/Ranchers must meet USDA’s Veteran definition – served in active duty and not dishonorably discharged.
There are many benefits to the CRP-TIP Program. Veterans gain access to land without going through the open market. The program encourages land transition between generations and supports/mentors’ new agricultural businesses. Promotes sustainable practices on previously conserved land.
LandLink Programs
Landlink programs, also known as Farmland Access Programs, connect aspiring and established farmers with landowners who are willing to lease, sell, or donate their land. These programs aim to facilitate farmland access, support beginning farmers, and promote sustainable agriculture by matching land seekers with landowners. Many programs offer additional resources, such as education, training, technical assistance, and farm succession planning, to support farmers and landowners throughout the process.
As an example, here are some notable LandLink programs across the United States:
- New England Farmland Finder: A free platform connecting farm seekers with available farmland across New England.
- Nebraska Land Link: Operated by Nebraska Extension, this program matches beginning farmers with retiring landowners and provides educational resources on succession planning.
- Georgia FarmLink: A web tool co-developed by Athens Land Trust and statewide partners to connect farmers and landowners in Georgia.
For a comprehensive list of LandLink programs by state, you can refer to the Nationwide Farm Link Finder.
Federal Grazing Permits
Federal grazing leases (or permits) allow ranchers to graze livestock on public lands managed by federal agencies like the Bureau of Land Management (BLM) or U.S. Forest Service (USFS).
These leases are a key resource for many ranchers, especially for our chapter members in the western U.S. where much of the land is federally owned.
Key Features of Federal Grazing Leases
- Not Ownership: You are leasing the right to graze, not buying or owning the land. The land stays public and is managed for multiple uses, including recreation, wildlife, and conservation.
- Permit Duration: Most grazing permits last 10 years, but they can be renewed. Renewal is expected if the permit holder complies with terms and land management rules.
- Grazing Fees: Fees are set annually by the federal government and are typically much lower than private grazing leases. As of recent years, the BLM grazing fee is around $1.35 per animal unit month (AUM) an AUM = one cow/calf pair for one month.
- Eligibility: Often, you must own or control a base property (private land or water rights) that is linked to the federal allotment. Veterans and beginning ranchers can apply but sometimes permits are transferred or inherited due to longstanding family or community use.
How to Obtain a Federal Grazing Lease
- Apply through BLM or USFS, depending on land management.
- Sometimes, permits are tied to ownership of base property.
- You may have to buy an existing ranching operation that includes a grazing permit. Remember that some states and nonprofits connect Veterans with retiring ranchers or federal permit holders looking for successors.
- Public auctions may occur if a permit becomes available.
Land leases around military bases and airports
Several non-profit organizations work with land leases around military bases and airports, often for purposes like conservation, buffering land from development, or supporting veteran farmers. These programs can open opportunities for agricultural leases and sometimes help veterans access land near bases.
Here are some key non-profits that the Farmer Veteran Coalition work with to assist our members:
- Compatible Lands Foundation (CLF): Partners with military installations to conserve land and prevent encroachment near bases. Works through the Department of Defense’s Readiness and Environmental Protection Integration (REPI) Program. Acquires conservation easements and leases land to farmers, including veterans.
- American Farmland Trust (AFT): Works nationwide to protect farmland, support sustainable agriculture, and connect landowners with farmers. Partners with military installations to preserve farmland near bases and airports. Farms for the Next Generation, a program that helps veterans and beginning farmers access land via leases, sales, or partnerships. Hosts veteran-focused land access workshops and maintain land linking databases where farmers can find available leases.
- Land Trust Alliance (LTA): Supports a national network of land trusts that work with the REPI Program. Some of these land trusts create leases for agriculture on protected land. Many land trusts are increasingly partnering with Veteran farmer training programs.
- Working with the REPI Program (DOD): While not a nonprofit itself, REPI partners with nonprofits to Protect mission-critical military areas, prevent development that conflicts with military training, Allow continued agricultural use through leases or easements.
Access to land is one of the biggest barriers facing beginning and Veteran farmers – but it is not insurmountable. With the right strategy and support, Veterans can find affordable land options, build sustainable operations, and continue the legacy of American agriculture. If you are needing assistance and want to explore these or other options, please contact our call center at (855) FVC-FARM (385-3276) or support@farmvetco.org.
Have questions or want to share your story?
We would love to hear from you. Reach out anytime to connect, collaborate, or learn more about programs FVC offers nationwide that are built to assist you in your journey.
HAPPY PLANTING everyone!
